Ballard Delivers Portable Fuel Cell Demonstrator to California Air Resources Board.

LOS ANGELES--(BUSINESS WIRE)--Nov. 5, 1998--Ballard Power (Nasdaq:BLDPF) (TSE:BLD.) Firoz Rasul, President and Chief Executive Officer of Ballard Power Systems presented a 100 watt portable Ballard Fuel Cell demonstrator power generator to the California Environmental Protection Agency's Air Resources Board and its Chairman, John Dunlap III at the Board's meeting to consider new Low-Emission Vehicle standards.

"The California Air Resources Board has led the way in introducing progressive environmental regulations and in turn, researching, supporting and promoting the benefits of fuel cells and other clean environmental technologies. It is a pleasure to present this demonstration unit to the Air Resources Board and provide John Dunlap and his team with the opportunity for hands-on fuel cell demonstrations" commented Mr. Rasul. "As portable Ballard Fuel Cells are commercialized, they will provide power in many different applications including portable generators, recreational use, backup power and electricity in remote locations."

"The Air Resources Board is looking forward to hosting this demonstration unit and using it to learn about the fuel cell's potential as a clean power source in all applications." added Mr. Dunlap.

The Air Resources Board is a department of the California Environmental Protection Agency. ARB's mission is to promote and protect public health, welfare, and ecological resources through effective reduction of air pollutants while recognizing and considering effects on the economy. The ARB oversees all air pollution control efforts in California to attain and maintain health based air quality standards.

Ballard Power Systems is the world leader in the development of proton exchange membrane fuel cell power systems. At the heart of its products is the Ballard Fuel Cell, a proprietary zero-emission engine that converts natural gas, methanol, gasoline, or hydrogen fuel into electricity without combustion. Ballard Fuel Cells are currently being used by leading international companies including Daimler-Benz, Ford, General Motors, Chrysler, Nissan, Honda, Volkswagen, Volvo, Matsushita Electric Works, GPU International, ALSTOM, EBARA, and Cinergy to develop zero-emission engines for vehicles and clean stationary power plants.

This release contains forward-looking statements reflecting Ballard Power Systems' current expectations as contemplated under the Safe Harbor provisions of the US Private Securities Litigation Reform Law of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including, without limitation, product development delays, changing environmental regulations, the ability to attract and retain business partners, future levels of government funding, competition from other fuel cell manufacturers, competition from other advanced energy technologies, competition from existing energy technologies, evolving markets for electric power and transportation vehicles, and the ability to provide the capital required for product development, operations and marketing. Investors are encouraged to review the section Management Discussion and Analysis in Ballard's 1997 Annual Report titled "Operating Results, Capital Requirements, and Risks" (pages 22 to 26) for a more complete discussion of factors that could affect Ballard's future performance.

Ballard's Common shares are listed on The Toronto Stock Exchange under the trading symbol "BLD" and on the Nasdaq National Market System under the symbol "BLDPF".